Webull Q1 adjusted operating profit falls on higher expenses

Webull

21/05/2026 21:25

Overview

US digital investment platform's Q1 revenue rose 36% yr/yr

Adjusted operating profit fell yr/yr as expenses rose on marketing and compensation costs

Company achieved sixth straight quarter of adjusted profitability despite higher costs and net loss

Outlook

Webull says it will continue investing in platform enhancements and international expansion

Company expects increased active trading after FINRA's PDT rule change in June 2026

Webull plans to offer clearing services to institutional partners following recent regulatory approval

Result Drivers

TRADING VOLUME GROWTH - Co said record equity notional and options trading volumes drove revenue growth

HIGHER OPERATING EXPENSES - Co said increased marketing, branding and share-based compensation costs drove up operating expenses and reduced profitability

INTERNATIONAL EXPANSION - Co said geographic expansion and licensing in Europe contributed to higher costs and future growth opportunities

Company press release: ID:nPn4gTjK7a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$159.90 mln
$167.25 mln (2 Analysts)
Q1 EPS
-$0.04
Q1 Adjusted EBIT
$14.80 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the financial technology (fintech) peer group is "buy"

Wall Street's median 12-month price target for Webull Corp is $12.00, about 71.7% above its May 20 closing price of $6.99

The stock recently traded at 32 times the next 12-month earnings vs. a P/E of 40 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)